Macau’s Return to China , At a formal handover ceremony on Dec. 20, 1999, Macau, the last remaining dependent state in Asia and, therefore, the final vestige of European colonialism in the region, reverted to Chinese sovereignty after 442 years of Portuguese rule. The new Macau Special Administrative Region (SAR)—including the Macau Peninsula, Taipa Island, and Coloane Island—followed the path set by Hong Kong, which was handed over to China in 1997 after 156 years of British rule.

Macau SAR, a 23.6-sq km (9.1-sq mi) territory with a population of more than 430,000, was to be ruled under China’s “one country, two systems” model, with a Basic Law similar to the Hong Kong SAR’s. Edmund Ho Hau Wah, a 44-year-old Canadian-educated banker and businessman, was elected chief executive by a special selection committee in May and approved by Chinese Prime Minister Zhu Rongji. Ho, assisted by an Executive Council, would govern with the existing Legislative Council of 23 members (8 directly elected, 8 indirectly elected, and 7 appointed) until scheduled elections to an expanded 27-member Legislative Council (10 directly elected, 10 indirectly, and 7 appointed) were held in October 2001.

The handover was welcomed in Macau, as were the 500 Chinese troops that crossed the border the following day. For several years Macau had been plagued by triad gang violence, much of it related to the enclave’s popular gambling casinos. Local security forces also expelled several members of the religious sect Falun Gong, which was banned in China but legal in Macau, to prevent protests during the handover festivities.